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Income Taxes (Tables)

6 Months Ended

Dec. 31, 2020

Income Tax Disclosure [Abstract]

Schedule of Income Tax Benefit

Income tax benefit consists of the following:

			Transition Period Ended December 31,						Years Ended June 30,
(in millions)			2020						2020						2019						2018
Current:
Federal			$	(75.8)					$	26.6					$	(24.2)					$	7.7
State			(0.6)						4.9						(0.1)						2.2
Foreign			0.2						0.5						0.2						—
Total current			(76.2)						32.0						(24.1)						9.9
Deferred:
Federal			39.1						(51.5)						17.8						(22.7)
State			(3.4)						(4.1)						1.7						0.7
Foreign			(0.5)						(3.6)						0.4						(1.4)
Change in valuation allowance			—						3.5						(0.2)						0.5
Total deferred			35.2						(55.7)						19.7						(22.9)
Total income tax benefit			$	(41.0)					$	(23.7)					$	(4.4)					$	(13.0)

Schedule of Income (Loss) Before Income Taxes

Income (loss) before income taxes consists of the following:

			Transition Period Ended December 31,						Years Ended June 30,
(in millions)			2020						2020						2019						2018
United States			$	(101.8)					$	(240.9)					$	(0.6)					$	122.3
Foreign			7.7						17.6						0.6						(2.2)
Total			$	(94.1)					$	(223.3)					$	—					$	120.1

Schedule of Differences Between Statutory Federal Income Tax Rate and Income Taxes Reported

The differences between income taxes at the statutory federal income tax rate and income taxes reported in the consolidated statements of operations were as follows:

			Transition Period Ended December 31,												Years Ended June 30,
(in millions)			2020												2020												2019												2018
Federal income tax expense at the statutory rate			$	(19.8)					21.0		%				$	(46.9)					21.0		%				$	—					21.0		%				$	33.7					28.1		%
State income taxes, net of federal benefit			(1.2)						1.3		%				(0.2)						0.1		%				2.0						6,422.1		%				2.9						2.4		%
Research and development credits, net of the federal tax on state credits			(1.3)						1.4		%				(2.8)						1.3		%				(3.7)						(11,880.9)		%				(2.1)						(1.7)		%
Uncertain tax positions, net of federal benefit			1.3						(1.4)		%				1.9						(0.9)		%				2.9						9,312.1		%				2.5						2.1		%
Uncertain tax benefits statute expired, net of federal benefit			(0.7)						0.7		%				(0.4)						0.2		%				(7.1)						(22,798.5)		%				—						—		%
Incentive stock option and employee stock purchase plan expense			2.5						(2.7)		%				(0.2)						0.1		%				(3.1)						(9,954.3)		%				(1.7)						(1.4)		%
Foreign rate differential			(2.1)						2.2		%				0.7						(0.3)		%				0.8						2,568.8		%				(0.8)						(0.7)		%
Change in valuation allowance			(0.3)						0.3		%				3.5						(1.7)		%				(0.2)						(642.2)		%				0.6						0.5		%
Tax Cut and Jobs Act impact			—						—		%				—						—		%				—						—		%				(32.0)						(26.6)		%
CARES Act			(20.7)						22.0		%				—						—		%				—						—		%				—						—		%
Fair value adjustments related to acquisition contingent consideration			—						—		%				—						—		%				0.8						2,568.8		%				(17.0)						(14.2)		%
Non-deductible contingent purchase price and transaction costs			0.7						(0.7)		%				(0.3)						0.1		%				—						—		%				—						—		%
Non-deductible meals and entertainment			0.5						(0.5)		%				1.8						(0.8)		%				1.3						4,174.4		%				0.4						0.3		%
Non-deductible officer compensation			0.1						(0.1)		%				1.6						(0.7)		%				0.6						1,926.6		%				—						—		%
Asset impairment			—						—		%				12.6						(5.6)		%				—						—		%				—						—		%
Expired tax attributes			—						—		%				4.2						(1.9)		%				—						—		%				—						—		%
Non-deductible legal settlement			—						—		%				—						—		%				1.9						6,101.0		%				—						—		%
Foreign disregarded election			—						—		%				—						—		%				6.4						20,550.8		%				—						—		%
Changes in revenue recognition/method			—						—		%				—						—		%				(7.3)						(23,440.8)		%				—						—		%
Other, net			—						—		%				0.8						(0.3)		%				0.3						963.4		%				0.5						0.5		%
Total income tax benefit			$	(41.0)					43.5		%				$	(23.7)					10.6		%				$	(4.4)					-14,107.7		%				$	(13.0)					-10.7		%

Schedule of Components of Deferred Tax Assets and Liabilities

The significant components of the Company’s deferred tax assets and liabilities were comprised of the following:

			December 31,						June 30,
(in millions)			2020						2020						2019
Deferred tax assets:
Net operating loss carryforwards			$	72.2					$	73.1					$	85.7
Property, plant and equipment			—						37.2						—
Accrued vacation			1.6						1.5						1.2
AR allowance			1.6						1.2						3.3
Stock compensation expense			11.5						13.8						16.0
Research and development credits			24.9						27.6						25.4
Lease right-of-use asset			15.2						16.3						—
Uncertain state tax positions			1.1						1.6						1.3
Other, net			16.9						9.6						9.0
Total gross deferred tax assets			145.0						181.9						141.9
Less valuation allowance			(42.0)						(42.4)						(38.9)
Total deferred tax assets			103.0						139.5						103.0
Deferred tax liabilities:
Intangible assets			144.0						150.3						175.4
Lease liability			14.6						15.8						—
Property, plant and equipment			15.7						—						2.5
Deferred revenue			—						—						7.7
Total deferred tax liabilities			174.3						166.1						185.6
Net deferred tax liability			$	(71.3)					$	(26.6)					$	(82.6)

Schedule of Net Operating Loss and Research Credit Carryforwards (Tax Effected)

At December 31, 2020, the Company had the following net operating loss and research credit carryforwards (tax effected), with their respective expiration periods. Certain carryforwards are subject to the limitations of Section 382 and 383 of the Internal Revenue Code as indicated (in millions):

Carryforwards						Amount						Subject to sections 382, 383						Expires beginning in year						Through
Federal net operating loss						$	45.0					Yes						2031						2038
Utah net operating loss						2.7						No						2021						Indefinite
California net operating loss						3.7						No						2027						2042
Other state net operating loss						11.5						Yes						2027						2040
Foreign net operating losses (various jurisdictions)						9.4						No						Various						Various
Federal research credit						9.4						Yes						2027						2040
Utah research credit						11.7						No						2021						2034
California research credit						3.6						No						2027						Indefinite
Texas research credit						0.1						No						2039						2040

Schedule of Unrecognized Tax Benefits

The Company’s gross unrecognized tax benefits as of the transition period ended December 31, 2020 and the fiscal years ended June 30, 2020, 2019 and 2018, and the changes in those balances are as follows: 

			Transition Period Ended December 31,						Years Ended June 30,
(in millions)			2020						2020						2019						2018
Unrecognized tax benefits at the beginning of period			$	23.5					$	21.7					$	24.9					$	25.2
Gross increases - current year tax positions			13.9						1.6						2.2						0.6
Gross increases - prior year tax positions			1.0						0.7						0.5						2.4
Gross increases - acquisitions			—						—						2.3						—
Gross decreases - prior year tax positions			(0.1)						—						(0.1)						(3.3)
Gross decreases - settlements			—						—						(2.7)						—
Gross decreases - statute lapse			(0.7)						(0.5)						(5.4)						—
Unrecognized tax benefits at end of year			$	37.6					$	23.5					$	21.7					$	24.9
Interest and penalties in year-end balance			$	2.2					$	1.4					$	0.8					$	1.5

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